Estate Planning Process
The information contained in this page is designed to give you a road map of which Estate Planning alternatives you should consider as you pass specific ages and milestones in your life. As always, Estate Planning is a highly individualized process and this general timeline may not be appropriate for each and every situation. Furthermore, this is an illustration to indicate the importance of a continued and on-going relationship with your Estate Planning Attorney and your Financial Planning Team as a whole. Estate Planning is not a once in a lifetime visit to an Estate Planning Attorney. It is a process that if periodically maintained and monitored will result in the smooth succession of property and assets at your death as well as achieving optimal tax efficiency. Consult with an estate planning attorney to make sure you have the appropriate documents to meet your needs.
 In your 20’s ...
At this age, most 20-somethings aren’t concerned with creating an estate plan. Frequently, they are just beginning careers, getting married, having children, working at paying off school loans and saving for their first house. However, once the twenty-something person does purchase a house, gets married or has a child, it is wise to think about planning how things should be handled in the event of a death or incapacity. Typically, a young person or couple may not think about this type of planning because the odds are that they have many more years to go until needing to prepare for this type of thing. Most young adults should at least have a will. Certainly, the young person should consider getting a durable power of attorney, health care power of attorney, a living will and a Will. Obviously, there are always exceptions, but unless the young person owns a business, owns substantial assets, is the beneficiary of a large trust or expected inheritance, or has a special needs child, there is not really a need for a trust. In most situations, a Will can effectively cover the needs that exist, provide for care for minor children, and properly dispose of assets. Typically, the young adult’s concern is not so much for the distribution of what property they may have, but more for naming a person as guardian of any minor children should both parents be deceased. Furthermore, documents like the living will or power of attorney allow family members to make decisions in the event of incapacity or serious medical conditions. The typical person in his or her 20’s should consider:
- A Will with provisions for minor children
- A Living Will
- A set of Healthcare Documents and Authorizations
- A Durable Power of Attorney
In your 30’s ...
While in your 30’s you are probably earning more or growing your business or advancing through the ranks at your company and as a result, creating a larger pool of assets. Our typical client in this age range typically has purchased a home and has a growing family. The planning goals of someone in their 30’s is substantially similar to those in their 20’s. However, people in their 30’s are typically starting to get closer to the asset level where it is time to start considering the need for a trust. A trust in this situation may or may not make sense depending on the person's particular situation, but the advantages and disadvantages of a trust certainly should be discussed with your estate planner.
- Consider if a Trust best accomplishes my goals
- Update provisions for care for minor children
- Make sure Powers Documents are up-to-date
- Is my Will up-to-date?
In your 40’s ...
Our typical client in this age range is usually starting to get close to reaching the peak of their earning potential in their career. Chances are that the children have grown up or are just about grown up. In your 40’s, the focus is likely to shift more to the protection of assets from taxes and preserving as much as possible for retirement and for heirs. Trusts start becoming frequent in this age range. Many people want to avoid the perceived high cost of probate, the lengthy delays in probate of distributing the assets to heirs, and minimizing taxes. In addition, if you have an adult child that may not be mature enough to receive a large distribution or an adult child with special needs, extra care must be taken to ensure that your wishes are carried out in a way that you think will provide your heirs with the greatest benefit.
- Strongly consider if you need a trust based on the size of your estate of needs of your family.
- Think about planning needs for children in college or starting plans for grandchildren
- Ensure any existing Wills or Trusts reflect your wishes
- Business Planning needs have been met and are current to reflect any changes in the business
In your 50’s ...
At this stage, you are likely at your peak in your profession or business. Earnings and savings have substantially grown. At this point, retirement planning may be entering your thoughts. However, protecting your assets, establishing a legacy, worries about long-term care may also be creeping into your thoughts. Wondering how to best provide for all your children and grandchildren and surviving spouse are usually paramount concerns.
- Make sure a comprehensive Estate Plan is in place
- Evaluate your family's and heir's needs and what should be done for them
- Determine if any charities should be included
- Discuss business succession plans with family and attorney
- Determine if there is a need for long-term Health Care insurance
- Determine if there is a need for medicaid planning
 In your 60’s and beyond ...
By now, you are likely to be close to retirement or already retired. Perhaps the family business was sold or the children have taken it over. You are ready to take some time to relax, vacation, do charitable work, or begin a second career. Primary concerns are for the distribution of assets and health care expenses and planning.
- Make sure all documents are up to date and meet your needs
- If health care planning is a need, make sure your attorney has drafted documents to handle your situation
 Review plan with attorney periodically as family or financial situation changes- Are children and grandchildren adequately provided for
- Relax and enjoy knowing that you have done everything you can to create and maintain a comprehensive Estate Plan that will ease any burdens upon your heirs.
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